The first major controversy of New York City's new Community School District System has revolved around the allocation of funds available under Title I of the Elementary and Secondary Education Act. The uproar started when the Board of Education announced the allocations for the districts in the last moments before the 1970-71 year was to begin. The community school boards saw immediately that these allocations would mean drastic reductions in the funds available to them for locally developed Title I programs. In the resulting angry reaction by the community boards most of the attention has been on the specific hardships of the districts involved. Much broader issues are, however, involved: the general question of allocations of all funds, the rights and powers of the community boards, the relationships between the teachers' union and local and central authorities, and, indeed, the whole concept of decentralization itself. (Author/JM)